WASHINGTON, Dec. 16 (UPI) -- Rolls-Royce announced changes with its new senior management structure as part of an effort to simplify the company's organization and reduce costs.
The restructure is the company's first step in a wide range of restructuring measures, announced in November. This includes the removal of a layer of senior management from the company's Aerospace and Land & Sea divisions. Rolls-Royce presidents of Civil Aerospace, Defense Aerospace, Marine, Nuclear and Power Systems will now report directly to the company's Chief Executive.
"The changes we are announcing today are the first important steps in driving operational excellence and returning Rolls-Royce to its long-term trend of profitable growth," Rolls-Royce Chief Executive Warren East said in a statement. "This is a company with world-class engineering capability, strong market positions and exceptional long-term prospects."
Following the announcement, Aerospace president Tony Wood has decided to leave the company, and Land & Sea president Lawrie Haynes has decided to retire.
"I would like to thank both Tony and Lawrie for their excellent support since I became CEO. The Board and I wish them every success for the future," East said of the departures.
Company officials say the new structure will make Rolls-Royce more competitive by intensifying leadership focus on operational performance. Rolls-Royce will issue updates on the cost and range of the restructure program in February 2016.